Netherlands Considers Regulating Online Gambling

The Netherlands does not currently regulate online gambling sites taking bets from Dutch citizens, but that could change. The Dutch government says it wants to put in reforms to regulate the industry and protect Dutch players. The proposed reforms include licensing online sites to operate in the country and protections for problem gamblers.

For online gambling site operators, the Netherlands is considered a gray area where they can operate, but no regulations for online gambling are in place.

But that could change soon as the Dutch government is considering putting forth new regulations for online gambling in the country, including licensing and protections for problem gamblers.

According to new State Secretary for Security and Justice Klaas Dijkhoff, the country is working to modernize its legislation and stop illegal operators from targeting Dutch consumers.

Dijkhioff says the country’s nominal ban on online gaming isn’t working.

 “Maintenance and enforcement of the current ban is in reality not possible due to the large online offering and the cross-border nature,” Dijkhoff told casino.org.

Dijkoff wants to see online gambling sites licensed by the country with most licenses going to sites based in the European Union or the European Economic Area.

According to Dutch gaming regulators, more than 200 online gambling businesses have already inquired about the possibility of getting licensed.

Dijkhoff said there are many “reliable operators” that the Netherlands would probably license, but also said that if a company had been fined by the Kansspelautoriteit—the Netherlands gaming regulator—for advertising or providing services to consumers in the Netherlands without a license, they would not be eligible.

The plan would also feature controls for problem gamblers.

And, of course, tax rates for both online and land-based gambling throughout the Netherlands would be set with land-based venues taxed at 30 percent and online operators at 20 percent.

According to some estimates, Dutch citizens spend about $862 million on unregulated online gambling sites each year.